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. according to the faa, flights into new york, baltimore, and washington are delayed because of not enough controllers on hand to monitor the busy corridors. joining me now, president of boy group international and erik hanson, director of domestic policy for the u.s. travel association. welcome to you both. i will start with you, mike. what do you make of this? the fda is saying many of these delays are two hours or more. is is the fault of sequestration or is something else, not? >> it is the fault of politics. sequestration is 600 mlion out of the faa budget. 4 percent. they still have a billion dollars in their budget, more than they did in 2008 and 8% fewer flights. no one in aviation is buying this. thiss a political stunt, and that is all. gerri: do you agree? >> i don't know if it is a political side, but it is certainly politics at its worst. for the travel industry, a key driver of the economy, we cannot afford to sit here and have congress pointing the finger at the administration, the administration putting the figure of congress. travelers are stuck in the airport. travel in t
as the sequester. and why? well, one way that the f.a.a. is dealing with its share of cutbacks is by furloughing air traffic controllers saying on any given day 10% of the 15,000 controllers could be on furlough. with fewer controllers but the same number of flights the f.a.a. and the airlines have been warning travellers about the possibility of delays. up to three and a half hours in atlanta. more than two hours in chicago. an hour and 20 minutes at laguardia. the f.a.a. says as long as the sequester is in effect, the delays could last through the summer, which is the busy travel season. brian? >> rehema ellis at laguardia for us tonight. thanks. >>> still ahead on our broadcast, a series of extraordinary events. a town blown apart, a poison letter sent to the president, a bride on television in the middle of an earthquake. that's just the start of what happened while the nation's attention was elsewhere last week. >>> later the sad word tonight of the loss of a music legend. ♪ >>> we're back. we are all just back from a weekend that gave this country a chance to breathe. we were all watchin
. the faa reported the first day of furloughs resulted in delays of more than three hours on arrivals at los angeles - less than that at other airports. "i was delayed from laguardia. we were on the ground for about an hour. they made it up in the air, but we were delayed today." but delays in chicago were spotty, though passengers were bracing for them. "we had a business meeting this morning that we pushed back back an hour but it was smooth sailing from austin." - will you make an adjustment on future flights? "no, i think it's a more scare tactic than anything else." others got that same sense. oklahoma senator tom coburn called the furloughs "a dangerous political stunt," saying that more than $100 million could be saved by using fewer consultants, supplies and less travel, and pointed to the transportation security administration, which has managed to avoid furloughs. "being a flight attendant and working as a flight attendant, i care about safety, and when you cut people out of the tower, that's safety." as of now, the furloughs mean all 47,000 faa employees, including 15 controllers,
is suing the faa to halt the budget cuts. >> the faa has and should have exercised the discretion not to furlough air traffic controllers who never in the history have been furloughed before by any budget sequestration or any shutdown of the faa or anything like that. >> and even the white house admits this was never supposed to happen. at reagan national airport, i'm hampton pierson for "nightly business report." >> flying may be more difficult these days but there's good news for drivers. prices at the pump are down $.11 a gallon over the last two weeks and could fall by another.20 as we get closer to memorand e err memorial day. >>> leading sectors were energy and technology, ahead of the after the bell earnings. the dow ended the day 19 points higher and the s&p 500 added 7. the price of gold rebounded today, surging nearly $26 to $1,421 announced. but last week as the price of gold was falling, investors pulled $2.7 billion out of gold exchanged traded funds. most of the money was invested in international stock. >> turning to market focus. texas instruments reported the prof
. the faa put out a statement a short time ago saying that controllers will space planes farther tercel that they can manage planes that will the lead set delays. today there were approximately 400 business system attributed to a staffing reductions resulting from a furlough. it is out there. we are delayed. what do you think about that? >> i think it is a little bit crying wolf so far. today looked like any other day. there were delays add new work in new york and jfk that were attributed to high wind. charlotte douglas was the only one where it was attributed to staffing. about 20 minutes. nothing new. melissa: at the same time transportation infrastructure bill schuster said we know the faa has the flexibility to apply for a los. yet the administration has made choices that appeared designed to have the greatest possible impact on theraveling public. he is saying the faa is making this is painful as they possibly can to drive on the point that ain't made our money. that's posbly true? >>ell, i would be the last one to challenge the chairman. i do think that there has been a great dea
to prohibit the f.a.a. from closing 149 f.a.a. contract control towers due to the furloughing of its air traffic controllers. senator moran is a member of the appropriation subcommittee on transportation. senator blumenthal a member of the transportation committee which both oversee the f.a.a., this is 20 minutes. >> good morning, everyone. thank you very much for joining us on a topic we have been engaged in for a very long time. as you may recall, we made an effort in the continuing resolution to make certain that the issue of air traffic control towers was addressed. the administration had announced the closing of more than 140 towers. we believe, i believe that that's contrary to public safety, and i certainly believe it's unnecessary for the administration to take the position that they are taking. and in fact the amendment that i offered, that we offered was designed to give them clearly the flexibility to avoid the closing of air traffic control towers. you may recall that i made the lea of secretary ray lahood to indicate his support for the amendment. he told me while he would l
on the impact. >> the faa says 6700 flights every day may be delayed. because they're just not enough eyes to watch them. the faa says the skies are a little less crowded today and frustration among passengers is higher. a gate agent tells passengers we didn't know this would happen but two months ago ray lahood warned cuts could force the faa to furlough controllers. >> congress needs to fix this. fix a very dumb law. >> congress has not fixed it and now, the faa says every controller will be laid off one day twofr weeks and flights delayed or canceled. >> boarding a plane to get back to lax. just sat on the tarmac about an hour. >> larry's flight never did make it to los angeles and some flights from los angeles were hours late last night. >> we had flights operating as late as, as early as 2:00 a.m. >> that flight supposed arrive before 11:30. mike's flight delayed six hours. >> if i'm delayed six hours and can't work what is everybody else delayed? how much have you lost? >> the long delays were mostly at lax. san francisco international airport report nod delays due to air traffic con
news is here here with a look on the impact. >> the faa says 6700 flights every day may be delayed. because they're just not enough eyes to watch them. the faa says the skies are a little less crowded today and frustration among passengers is higher. a gate agent tells passengers we didn't know this would happen but two months ago ray lahood warned cuts could force the faa to furlough controllers. >> congress needs to fix this. fix a very dumb law. >> congress has not fixed it and now, the faa says every controller will be laid off one day twofr weeks and flights delayed or canceled. >> boarding a plane to get back to lax. just sat on the tarmac about an hour. >> larry's flight never did make it to los angeles and some flights from los angeles were hours late last night. >> we had flights operating as late as, as early as 2:00 a.m. >> that flight supposed arrive before 11:30. mike's flight delayed six hours. >> if i'm delayed six hours and can't work what is everybody else delayed? how much have you lost? >> the long delays were mostly at lax. san francisco international airport re
delays or cancellations. kpix 5's ken bastida is live with mobile5 at sfo to explain the faa furloughs triggered by budget cuts. >> reporter: yeah, juliette. this thing has been threatened for the past several weeks now. the faa over the weekend going ahead and instituting the sequestration cutbacks. essentially, this means about a 10% reduction for all the faa controllers around the country. so we checked with the airport duty manager at sfo,. he says no significant cancellations or delays in the bay area but they had problems at los angeles international airport yesterday. of course, that was the first day that the sequestration cutbacks went in and they were experiencing two-hour delays. so what does this mean? we talked to mario ianello who flies lot between l.a. and san francisco. is otr inconvenience for travelers. >> are you worried about any of this sequestration might cancel or delay one of your flights? >> not really. well, i'm more concerned about with the way the airline industry has been now -- i think they -- they have, uhm, made their flights either so full and cut bac
in the faa's union, but first we go to jackie deangelis who is out at my favorite airport, laguardia. jackie? >> reporter: good afternoon, tyler. a fair amount of angry passengers whose flights have been delayed is what she meant to say. of course, you know, they are blaming it on sequestration. that has prompted the faa to cut 47,000 jobs and 13,000 of those are air travel controllers. that is in an effort to trim $200 million from the budget. the question, of course, is at what cost is that savings really coming? the concern is that there will be a domino effect here, that delays like this will cause people, especially business men and women to stop traveling, travel less because of the inconvenience. not only having the bottom line of the airlines, but the greater economy. for example, american airlines say it could see a hit of $1.7 million a day as a result of this. now, some suggesting that people may be too quick to point the finger at washington. the faa saying in a statement that 1200 delays yesterday occurred because of the furloughs, but that 1400 more occurred because of bad weat
in las vegas and all around the country. but it's not only the furloughs at f.a.a., it's some of the programs that i've talked about and many more. we've seen the dire effects of these arbitrary budget cuts. and we have an obligation to stop them. that's why i'll soon ask i ask unanimous consent to take up and pass legislation that would block sequestration until the end of this fiscal year. until the first day of october. this would give us five months to sit down at the negotiating table and work out an agreement to reduce the deficit in a balanced way, a way that doesn't punish the american people and our economy in the meantime. legislation that i'm proposing is simple. and it deserves quick approval. -- no reason to go back even though i would agree to it, let's -- to the buffett rule, let's do some spending cuts, do some more cutting, we've tried that. it wouldn't work. let's try the flexibility. that also won't work because you're dealing with the same amount of money. so i would hope that this simple solution i'm suggesting will be supported by my republican friends. e
and for the american people. >> yesterday's faa's furlough produced the predicted flight delays, and senator mcconnell said as a result of the administration's poor planning and political motives were stuck op the tarmac. what's the reaction to that? >> i find it interesting the republican is decrying the sequester in the past that he support. it's a result. we made it clear that there looks like there would be negative effects if congress failed to take reasonable action to avert the sequester, policy that everyone who was involved in writing it knew at the time and was never designed to be implemented, but designed to be bad policy and to be avoided. the fact is that congress had an opportunity, but republicans made a choice, and this is a result of a choice they made to embrace the sequester as -- and i'm quoting republicans, a victory for the tea party and a home run. i don't know that they agree with it because they changed positions on sequester a variety of times in the last several months. it should have never been policy. president put forward a comprehensive balanced approach to defic
in yesterday, for 47-thousand f-a-a workers, including 15-thousand air traffic controllers. workers have to take a total of 11- furlough days by september. that means 15-hundred controllers could be off on a given day, or 10-percent of the workforce. in fact, the f-a-a has been keeping some planes on the ground because there are not enough controllers to monitor the busy skies. officials warn delays are likely to continue. 'you have to see it to believe it.' that's what one of the workers said, as he was cleaning up a homeless camp this morning in san jose. the eviction and clean-up is part of san jose's on-going effort. to get people who are homeless off the streets, into a shelter. and onto a path back toward society. rob fladeboe? >> this will award showing dozens of homeless camp will warned-their camp considered an environmental hazard, as many as 170 campers were given notice on friday, that they had to gather their things and be gone by monday morning. kron four's rob fladeboe shows you what they left behind. a well-worn footpath through the trees and brush leads to several dozen
jobs that should not have one. >> reporter: the faa didn't mince words, blaming most of the backlog on "federal budget cuts." the agency says it was forced to furlough air traffic controllers one day every other week. it saves the agency $640 million. the faa says it could cost travelers 90-minute delays on 6,700 flights every day. and early numbers show delays at baltimore, washington, and laguardia spiking four-fold today over last monday. but part of that could be weather-related. but at other airports like philadelphia, not much change. to see for ourselves, we boarded a flight in miami for orlando. so here's the confusing thing. the flights to washington, d.c. all seem to be delayed from miami. but the flight tracker here on the faa website has no delays. >> so 10% fewer air traffic controllers still have the same number of planes in the air at the same time. about 5,000 of them. transportation secretary ray lahood called it a calamity. >> safety will never be compromised. safety is not involved in the decision that we made about who to furlough and when to do it. >> reporter:
intensified and weather picks up, this is just the beginning. >> reporter: the faa has ordered 14,750 air traffic controllers on furlough two days a month. that's to help make up for $600 million in mandatory budget cuts called sequester. the faa sahacaed 400 delays nationwide on sunday averaging 85 minutes at new york's laguardia airport and 70 minutes at jfk. sporadic delays were also reported monday in charlotte, north carolina, and jacksonville, florida. transportation department head ray lahood says there was no other choice. >> we eliminated contracts. we cut contracts. we eliminated temporary employees. we looked everywhere possible to avoid the kind of furloughs that are now taking place. >> reporter: not everyone agrees. nick represents the airline industry which is suing to stop the furloughs. >> the faa has a budget of $15.6 billion. in a budget that big surely they can find the money to not furlough the air traffic controllers and have this kind of rolling impact on the u.s. economy. it's going to cost a lot more. >> reporter: critics argue president obama wants the public to
real business. >>> all right. first up, as airport delays mount to the faa is blaming the spending cuts sequester, forcing thousands of air traffic controllers to take unpaid leave. but republicans blame the obama administration for selectively choosing which cuts would make us all feel the most pain. take a listen to kansas senator jerry moran earlier today. >> it seems as if politics is playing a significant role in the determining what actions the faa are taking, and every indication that i have from conversations with my colleagues is it emanates from the white house. >> all right. here to talk about what i call the phony crisis and the obama democrats' attempt to raise $1.2 trillion in taxes is texas republican congressman, vice chair of the joint economic committee, my friend brady. and democratic strategist steve mcmann and townhall.com's guy benson here with me. mr. kevin brady, welcome. i know you blasted the irs for their fur lows. but i want to just put up -- i don't know if you can see this, probably not. i'm going to read the numbers. we're going to show you that the faa ha
. >> heartbreaking to look at it. >> the faa is starting its furlough program, forced days off. >> delays at some of the nation's busiest airport. >> the government needs to get their act together. >> tsa, putting a temporary hold on the controversial policy change that would have allowed small >> a proposal to make it illegal to buy tobacco unless you are 21. >> and at the location where he dropped -- >> innocent men, women, and children. you get paid for it. >> which is your strongest -- >> honestly i don't know. >> is there someone we could call. >> freedom rock woodstock, and his songs were an an them for a generation. richie havens has died. >> i was never in show business. i was in the communications business. >>> a rookie news anchor clemente, thought his knife was off. >> by the way, a.j. was fired today. >> and, man, that sounds like an idiot. >> this morning's eye opener presented by prudential. >> wel "cbs this morning." good morning, norah. >> good morning, charlie. welcome back. >> good to be back. >>> the hospital treating the marathon bombing suspect was turned i
on a sequester cuts through airport delays. where the faa could have cut the that the president had let him. outrage tuesday rolls on after this. stuart: this is an understatement, netflix shares are up this morning. way up. more people signed up to pay for netflix after three months of "house of cards." people loved it. many people subscribe to netflix now, almost as much as hulu, hbo. iphone sales expected to be down. apple down this year, up only $1 now, below 400. look at coach. i always considered it a demographic luxury. sales are up better than expected, coach is assuming 11%. $5 stocks hitting all-time high. all of them are up. up 125. outrage tuesday rolls on in a moment. [ indistinct shouting ] [ male announcer ] time and sales data. split-second stats. [ indistinct shouting ♪ it's so close to the options floor... [ indistinct shouting, bell dinging ] ...you'll bust your brain box. ♪ all onhinkorswim from td ameritrade. ♪ ♪ the middle of this special moment and i need to run off to the bathroom. ♪ i'm fed up with always having to put my bladder's needs ahead of my daught
travelers at some of the nation's busiest airports. yesterday alone the faa said there were more than 400 flight delays nationwide. 47,000 faa workers must take furlough days, including 15,000 air traffic controllers, losing one day of work every other week. that's a 10% reduction in staffing. >> when 70% of your budget of your operating budget is personnel, you cannot avoid when the cuts are as deep as they are in the sequester, the kinds of actions that are taken. >> today the transportation department says it's considering a request from the airline industry to temporarily suspend the delay rule in light of these furloughs. that rule prohibits airlines from keeping passengers on the tarmac for more than three hours. here in the bay area, an average of three air traffic controllers are scheduled to be furloughed in san francisco, oakland and san jose. officials say so far they haven't seen significant delays due to the furloughs here. however, the faa tells us los angeles international experienced delays of more than three hours for some arriving flights last night and that ended up cau
destination. more now from mark matthews. >> faa says the skies are a little less crowded today and frustration among passengers a little higher. >> getting angry. irritated. we don't want you to be here. >> gate agent tells passengers we didn't know this would happen but actually two months ago the transportation secretary hood warned budget cuts could force the faa to furlough tenth of the controllers. >> congress needs to fix this. congress needs to fix a very dumb law. >> congress hasn't fixed it and new the faa says every air traffic controller layed off one day every two weeks. and flights will be delayedw3 or cancelled. >> plane back to lax. sat on the tarmac for about an hour. >> larry point dexter flight in san antonio didn't make it to los angeles last night. diverted to fresno. some flights from los angeles to here in san jose were hours late last night. >> we had flights operating as late as as early as 2:00 a.m. >> that was a flight was to arrive before 11:30. los angeles international had 3 fewer controllers today. mike kennedy flight delayed sex hours. >> bo
turbulence here in washington tonight. >> as the faa began furloughing air traffic controllers and the flight delays began. the finger pointing quickly followed. >> as a result of administration's poor planning, i would argue political motives, thousands of people were stuck on tarmacs over the last few days. >> congress had an opportunity but republicans made a choice. and this is a result of a choice they made to embrace the sequester as, and i'm quoting republicans, as a victory for the tea party and a home run. >> if the blame was partisan, the pain was not. long lines and missed connections raised bipartisan concerns with republican and democratic senators asking the transportation secretary and head of the faa how much funding do you need to avoid furloughing air traffic controllers and to keep the contract air traffic control towers open and what could you cut from other accounts to avoid or reduced air traffic controller furloughs and contract closures and there were bipartisan proposed solutions. >> what i believe is there ought to be postponement of these furloughs to give all of us
: sequester is faa starting air traffic controller furloughs yesterday it has been warning for months this day would becoming. and delays would follow, so far it is pretty. the usual havoc and delays. you would not know it looking at headline, main street media, airline and flight sshools sinker ravel guru mark murphy said that administration is manufacturing this mess. he does not deny the lines but deny so call reasons. >> i think it just forced, they want it to be difficult, it there is no reason. are we spending more money this year than last year, are we not going to spend a trillion more in 2013, than we spent in 2007. neil: faa has a higher budget this year than last year, i having said that, what is in it for them, if you think about. everything i think trickles down to the president good or bad. >> a few months they played the hand it was a disaster, they walked it back, they saw of it not a disaster we just slowing increase in spending. neil: your facts are dead obut these cuts would be rolled in this is latest more come ing on the travelling, you say it is a nightmare because there
. the f.a.a. has assured us things will get much worse before the end of the busy summer travel season as these arbitrary sequester cuts continue to affect airport staffing levels. what it means is that every two weeks all f.a.a. employees will have to take a day off. at peak travel times, almost 7,000 flights will be delayed every day, some of them by up to three hours. now, mr. president, the worst day we had last year because of weather-related issues, less than 3,000 flights were delayed. now every day more than twice that number will be delayed. these delays will be bad for business, this'l they'll be frug for families and devastate forge the economy. but flight delays around the only consequences of these unintended cuts. it is not just f.a.a. employees. it will affect 750,000 jobs across the country. it will shred the safety net that keeps millions of seniors, children, veterans, and needy families from falling through the cracks. and it'll gut investment in education, medical research, that helps america compete in the 21st century. more than 2,700 schools with large numbers of
healthcare. >>> cancellations are piling up at the airports. there are 124 delays across the country. the faa and airlines say the delays are the result of budget cuts and furloughs forced by the federal sequester. yesterday more than 1,200 flights were delayed. about 10% of the faa's air traffic controller's work force were required to take an unpaid day off. joining me now, the president and chief executive of airlines for america. thank you for your time. >> thank you for having me. >> i've seen a couple of reports disputing whether these delays we saw yesterday were normal. some allegedly weather-related. as i understand it, you believe. >> not all of them are because of the sequester. we're keeping as close track as we can based on the information from the faa. which are sequester-related and which are not. the point is these delays are increasing today as we speak and we think will continue based upon the fax's forecast to snow ball as time goes on. >> can you give me a percentage, at least today, for example? i said there are about 1,200 flights delayed. do we know what percentage you believe were canc
that faa staff have had to be furloughed, then you may well be looking for someone to blame. and luckily enough, republicans are at the ready and know exactly who's responsible. >> as a result of the administration's poor planning, i would argue political motives, thousands of people were stuck on tarmacs over the last few days. the faa's mismanagement of this issue is a source of bipartisan frustration. our goal here shouldn't be to score political points on the backs of weary travelers. it should be to fix the problem. >> let's see. our goal here shouldn't to be to score political points. since when did mitch mcconnell outgrow his need to scoring political points? and isn't this what republicans have been doing for the last five years? but today, this very broadcast, has become the victim of the ludicrous sequester. because we've been in discussions with representative january schakowsky of illinois, who this week is promoting a bill that would put 50,000 public servants, such as police officers and firefighters, back to work. it is the exact opposite of the sequester and seemed like a
before we were worried about cybersecurity and cyberattacks the faa was considered the air traffic system itself a closed system. nobody could get in and it was pretty much that way. now as we expand the system we have more people introducing things into the system and we modernize the system. for example aircraft are going to become a node on an information system to did do calabro -- collaborative air control. they are working with the pilots and aircraft and aircraft get a picture of what's going on in the system. as we introduce those into the closed loop of flight information management system for example an aircraft, that could be a way to get into the system. that could compromise the system and as we open the airplane up to more people using the internet then that's a possible entry into the system. the gentleman from germany who was at potsdam just showed an android app of how he can take over an aircraft going through the automatic dependent broadcast system which is satellite dazed air traffic control and the flight management system. basic commands, go here and that reroutes t
of sequester budget cuts on the faa . the worst delays on east coast, including new york's laguardia, one out of 5 tier oeveryfive flights before noon s delayed. congressional republicans say, bull. they charge obama administration is structuring cuts to make them as painful and obvious as possible. >> federal reserve chairman ben bernanke will not be at jac jacn hole sim this year. my next guest said that we' seeing a slowdown in the economy after a stock first quarter, joining us, wells fargo chief economist, john sylvia, you see a slowdown here? >> there is a slowdown that is what bothered market, stock market a little bit, we a single family housing stocks, retail sales disappointing. building into the commodity market, chinese economic growth is disappointing. people at the inning of year think this economy will take off, and earnings will be strong, then as year goes down they tamper down those expectations. >> you know there is one stock that stands a metaphor, caterpillar, we see themith disappointining results off 42 their earnings, because they are off in the mining sector, but they
of flight delays, as the faa scrambles to make due with fewer air traffic controllers. some of the nation's busiest airports fell behind because federal budget cuts have resulted in furloughs across the faa. delays are ranging from 15 minutes to several hours. >>> the record rainfall and flooding that's inundating much of the midwest is far from over. in peoria, the illinois river is cresting today, expected to hit nearly 30 feet. the problem is flood stage is only 18 feet. mississippi and other river towns are seeing similar swamping. near st. louis, more than 100 barges broke free, some smashing into bridges. at least ten of them sank. >>> and there's evidence that we are not exaggerating about the water levels. here it is. take a look at a fish swimming by someone's office window. that's in grand rapids. the river there crested at nearly 22 feet. >> my goodness. >> yikes. >>> today's forecast for the flood zone won't be a welcome one. plan on plenty of rain stretching from south texas all the way to the great lakes. and in the northern-most spots it will be snowing again today. as much
, the sequester. the faa told us they don't have enough people at kennedy so oui not taking off. i said you have to be kidding me? i'm sorry. wield have loved to announce it to people so you could go mack your calls, but the faa has ordered a full stop and we are not allowed to do anything and we have no idea until two minutes ago. >> what about the sequester's impact in a real way on ticket sales particularly for government employees and the like and travel will? i know we reported decent quarters and i know we've been talking about them as investments for the first time ever as opposed to trade. >> there is a concern for business travel and leisure travel. >> the board says on time, and they have no control of whether it's on time. suddenly on time means nothing, david. on time means nothing because if you look at it they don't know. i said, come on, delta has to know. the faa said please tell people it's because we're shorthanded and we don't want to be shorthanded in kennedy when you land, and i thought that was wise. i too, would like enough air traffic controllers to handle kennedy opinion
but this investigation is going beyond that. this is looking at the f.a.a. pros for certifying airplanes. the way it works now is the f.a.a. does rely on the manufacturer because they want to get the planes certified in a timely manner. what the original process found with the battery, maybe it could catch on fire once every 10 million flight hours. what happened were two fires in 52,000 flight hours. since then the battery has been resigned and the company is saying and the government is saying that redesigned battery should be just fine. take a listen. >> we believe that the work that was done on the original battery, that that failure rate was an appropriate failure rate and we believe that we've restored that design intent at this point. >> it's still concerning there's no root cause yet discovered by the company or the government as to why the batteries caught fire. one in the air by japan and the other at boston's logan airport. as for the logan fire, the f.a.a. was asked whether or not there could have been a problem if the plane was in the air and they say they don't know how to make the
caught up in the faa sequester and this is probably the first hand account of sewing th seeing this. >> we were about to take off and the pilot comes back and doesn't see me cnbc. the faa says we don't have enough air traffic controllers to take off. i said is this from delta? the faa wanted to make it very clear to everyone onboard is that the reason we're not taking off is because they're shorthanded. oh, jim kramer from cnbc, would you please get the word out that we're not taking off because the faa said you cannot come from orlando. we're not ready. we don't have enough people. it was pretty amazing. >> it was orlando to where? la guard wra? >> orlando to kennedy. >> it was absolutely not a weather delay. we are ready to go. delta is ready to go. the faa says listen, you can't come in. we don't have enough people. we can't do the job. it was remarkable. we said how long? two and a half hours? why is that? >> maybe two and a half hours the faa says they might be able to round up enough people to land the airplanes in kennedy. >> that is stunning. i was watching in horror because
i think has done a great job. he came in and he said hey, folks, i gotta tell you the faa is one of the biggest parts of the department of transportation. and they got nothing but people, you know. they don't have like battleships that can keep in port or whatever and we're going to have to cut x billion dollars whatever it is. the only way we can meet that goal is we're going to have to furlough. and most of our people -- so we have nothing but employees basically. most of our people or a good schaffer our people are air-traffic controllers so there is no way -- this is what lahood told us, told the world. there is no way that we can avoid this. therefore, no way to avoid what that's going to mean. three things, he said. delays in flights. cancellation of flights and shutting down some regional towers. and he appealed to his fellow republicans. he is a republican. was saying republicans cannot let this happen because they're going to suffer the consequences. of course people said they're just exaggerating. that's not going to happen. and then march 1 kicks in, the sequester kick
for more flight delays triggered by the sequester. some of the busiest airports fell behind schedule. faa furloughs went into effect leaving fewer air traffic controllers on the job and we have more from abc's matt gutman. >> reporter: the delays piled up in charlotte. waits up to 75 minutes at baltimore washington and at all three new york airports. >> when you have cuts like this, it's not good. it's one of the very few jobs, i think, that should not have one. >> reporter: the faa didn't mince words, blaming most of the backlog on federal budget cuts. the agency said, the crunch forced it to furlough its air traffic controllers one day every other week. it saves the agency nearly $640 million, but the faa says it could cost travelers 90-minute delays on 6,700 flights every day. and the early numbers show delays at baltimore washington anew york's laguardia, spiking fourfold over last monday. part of that could be weather related. but at other airports like philadelphia, not much change. to see for ourselves, we boarded a flight in miami for orlando. here's the confusing thing. the fligh
and the faa has grounded some flights because there aren't enough controllers to monitor them. >> part of the malr mall was evacuated after a gas line was struck on the north side of the mall. the line was properly marked. the leak was stopped by 9:30 a.m. no one was heard. >> heywood police has identified the victim and suspect in a deadly shooting in the second homicide of the year. police are looking for 26-year-old michael shoe tar. he had moved around several east bay cities he is the suspect in the shooting death of 26-year-old e zeek yell taylor. they found his body in a driveway. he died from his injuries on sunday morning. >>> they are popular and convenient for so many parents, drop-in childcare centers and they're often found at local gyms. the centers aren't required to meet the same standard as other childcare centers. bay area senator wants to change that. mary ann favro joins us in san jose with the changes he's proposing. >> reporter: well a lot of parents take advantage of this service offered by their gym. they can go in, get a workout for about an hour or so and the
, federal budget cuts have kicked in testing the already thin patience of air travelers. faa furloughs causing some delays at airports across the country with air traffic controllers forced to take days off. at sfo, most lights were on schedule. some flights into and out of lax, it's a repeat of last evening when some flights out of los angeles were delayed up to two hours. >>> well, it's one of the most well manicured cities in the bay area. >> and one look at the water bill will tell you why. on this earth day, kit doe shows us why palo alto is using so much water and who is using more. kit. >> this is an increasingly common sight here in palo alto. now the thing about this city is that they know they use a lot of water and they're trying to do something about it. >> it's one of the luscious, greenest cities in the bay area and it's no wonder. palo alto ranks near the top of the list for bay area water users. the bay area water supply and conservation agency says palo alto uses 100 gallons of water per day. the average is 77-gallons per day. it turns out, palo altoans love their y
of the country. the faa estimates nationally that these delays would cause 6,700 delays a day. >>> a nuclear power plant in eastern tennessee has extra security this morning after a shooting over the weekend. police say a man fired shots at a guard who then returned fire. it happened at the watts bar plant in spring city. no one was hurt. >>> well, president obama has invited all 20 female senators to dinner at the white house tonight. it's the latest get-together scheduled by the president in an effort to find common ground with congress. no word yet on just who has rsvp'd. >>> and new york mayor michael bloomberg wants to raise the legal age to buy cigarettes from 18 to 21. it would be the strictest limit of any big city but would only affect purchases. it would not prohibit those younger from 21 from having or even smoking cigarettes. >>> no to what's moving your money. cnbc's courtney reagan is here. courtney, good morning to you. >> hi, richard. apple reports earnings today. with the stock dropping below $400 a share after peaking above 700 in september, you know it's the talk of wall s
: the faa releasing a statement saying it will quote, be working with the airlines and using a comprehensive set of air traffic management tools to minimize the delays and impacts of lower staffing as we move into the busy summer season. do you find that reassuring? i'm not sure i do. good morning stuart. stuart varney from the fox business network. stuart couldn't we move money over from consultants and grants to help folks out in the control tower? >> let me spell out what we're talking about. $500 million this year for consultants. $474 million in wrapts grants to make communities more liveable and sustainable. obvious, question, martha, take some money out of the consultants bucket and put it into air traffic controlsers bucket to avoid delays. president says can't do that. i don't have the flexibility to target nonessentials. can't do it. so the republicans introduced a bill that would specifically give the president that flexibility, to avoid this pain. he threatened to veto it. that's where we stand this morning. more cuts are coming. more delays are coming. the president does not wan
if the government gives too much authority to aircraft makers for safety testing. the f.a.a. has approved a fix for the battery problem. >> investors will watch how tarnished is apple's shine? they are releasing the latest quarterly earnings and most picket disappointing results. apple's stock has plunged from $700 to $390 last week. apple has not released new products and sales have been mediocre but expectations are so low apple could surprise wall street and begin a turn around. >> bill that could impose sale taxes on online purchases clear add hurdle. the senate votes 74-20 to take up the bill to give states the authority to require online retailers like amazon to collect state and local sales taxes. if support continues, the senate could pass the bill by this week. california and eight other states already have laws that require online retailers to collect taxes for internet purchases. >> netflix is coming back after house of cards. >> good morning, brace for delays if you are flying. the f.a.a. is expected to continue to keep planes on the ground in some of the busiest airports as budget
, and the other far right wingers wouldn't budge. and now the cuts are hurting air travelers. the faa has been forced to slash hours for 47,000 employees. including 15,000 air traffic controllers. and we're seeing airport delays all across the country. surely boehner and cantor are -- would be flying high. after all, they got those spending cuts they wanted to badly, didn't they? not quite. instead, they're still on the attack against the president. pushing the twitter hashtag obama flight delays. there it is tweeted by speaker boehner. majority leader cantor is on board, too. he's tweeting, why is president obama unnecessarily delays your flight? faa could have cut other spending. boarding call for mr. boehner and mr. cantor. you can't support something, then turn around and blame it on the president. any other ideas? >> it's time to cut spending here in washington. >> good one, mr. speaker. it's time to delay the takeoff of this hypocrisy. nice try, republicans. but we got you. suddenly, she does something unexpected and you see the woman you fell in love with. she's everything to you. but y
, as the faa furlough air traffic controllers. leading to reports of flight delays across the country but they suggest it's nothing more than a political strategy to get travelers to campaign to reduce the budget in other areas that would not delays passengers. some of the spending and $500 million they are spending, quote consultants or the $325 million for supplies and travel. there is the department of transportation $474 million grant program that promises to make communities more livable and sustainable. you may recall tsa, different agency but speaks to the spending that our government level, recently okayed a $50 million contract for new uniforms. that is a lot of dough. are we spending it well. so tsa is under dhs which is not the same, the point is just that they spend and they spend and they spend. they found $50 million to spend over the tsa and uniforms when it comes to air traffic controllers, now they to furlough and cut back? >> the numbers are all there. you laid out important numbers there. $474 million to make communities more livable through the faa, honestly, money
as the national transportation safety board takes a closer look at one fire in particular just days after the faa approved boeing's plan to get its fleet back in the air. dan springer is live in seattle. dan? >> reporter: yeah, jon. the faa approved the battery fix even as the company answers tough questions about the fire back in january that led to the dreamliner fleet getting grounded. the plane's lithium ion battery sured a short which led to the failure of all eight cells. boeing's new plan includes a redesigned battery that has more insulation between the cells to prevent what's called thermal runaway. the battery charger has been redesigned to reduce the total amount of energy in the battery so it doesn't work as hard, and it's going to be in a better steel containment box that won't allow oxygen to fuel a fire. the ntsb put boeing on the defensive this morning about its assumptions that turned out to be wrong. >> what we can't do is we can't account for every single possible method of short circuit, particularly what we would consider the unknown unknowns. >> reporter: boeing says it has
what those jitters say about the state of the this market coming up. ashley: outrage over faa furloughs and flight deys. lawmakers demanding answers from the white house. but those delays not stopping airline stocks from soaring. they're in the green today. we'll have all of that straight ahead. tracy: everyone is talking apple expected to report its first quarterly profit drop in 10 years. can apple do anything to stop the slide? we'll have a preview coming up. ashley: first at to the top of the hour, stocks back on track after a steep drop last hour. nicole petallides on the floor of the new york stock exchange. sandra smith is in the pits of the consider me. let's begin with nicole. i guess it as hacker flash crash of sorts, nicole. >> that is good way to call it. this is moment, whew, its all done. we made it through. look where market averages are. they are virtually where they were moments before we saw the market move into negative territory. the dow industrials up 130 points, a gain of 1%. like s&p 500, tech-heavy nasdaq best of the bunch. continuing trend we've seen three days
at the airport. the f.a.a. imposing furloughs on thousands of employees. those cuts are being blamed on sequester. guess what? delays, delays, delays. >>steve: with fewer workers responsible for the same number of planes that means you're going to have to wait. here now stuart varney, we're not going to make him wait. the scare quester didn't work. now what they're trying to do is inflict pain. people are going to sit on planes, they're going to call their congressmen. "you've got to do something about it! " >> that's right. quick pop quiz. did you know the f.a.a., the people who run the air traffic system, this year they will spend $500 million on consultants, $325 million on supplies and travel, $474 million on grants to make communities more livable and sustainable. >>steve: are you saying there's money available where they don't have to furlough those guys? >> exactly. why don't you take some of that money and put it into the air traffic controllers' bucket so we don't have to have these delays? because the president says we don't have the flexibility. we cannot redirect spending. not allowed
to sequestration. in the earnings call for delta, say expressed concern about the sequester delays and the faa staffing hurting business down the road. by the way, yesterday, 1,200 flights were delayed due to low staffing and today on "power lunch" when we talked with the secretary of transportation, he said, guess what, it's going to get worse. >> it's probably going to get worse, phil, because we haven't experienced any bad weather. we know there are going to be thunderstorms in chicago. we know there are going to be thunderstorms over the new york air space. we know that there are going to be storms coming in off the pacific ocean in l.a. and in san francisco and when that happens, this will only get worse. >> so as you take a look at the airline index, which has been moving higher over the last six months, keep this in mind, bill and maria, so far, we have not seen advanced bookings hurt because people are worried about delays is and their trips being ruined. but that potential is out there, especially as we head into the busy summer travel season. maria? >> phil, thank you so much. so is
the president and congress. >> the faa blames the combination of staffing shortages and the weather for massive delays at major hubs. the agency claim it had no choice but to put 15,000 work order unpaid furloughs through october which means 10% fewer working each day. we know passengers are frustrated, of course, but so are those air traffic controllers who worry they're being used as political pawns of. >> the air traffic controllers have never been furloughed. they should not be furloughed now. >> the white house says the furloughs were unavoidable under the cuts originally supported by republicans and republicans simply say this. blame obama for delaying your flight. let's get a first class perspective on all of this from the "huffington post," howard fineman. did you see what i did there? >> i wish i could fly first. we don't. >> so howard, you know there is a difference between the reality of the situation and the perception of the reality of the situation. do you think that most people who are inconvenienced by this, waiting in longer security lines, do you think they're standing there w
penalty. >>> passengers experienced some delays at u.s. airports on monday as the faa began imposing furloughs of air traffic controls. but the widespread traffic never really materialized. flight aware.com says only about 150 flights were canceled. and is while some people waited nearly two hours to take off, delays were much shorter on average. let's get more now from aviation industry consultant ray. ray, good to see you. this isn't just a story about monday, is it? the real question is what happens as these furloughs continue to play out? >> yes. it's going to take at least a couple of days before we see the full impact of these budget cuts. >> talk a little bit about what's coming down the pike. it's pretty significant, to some extent. >> it is. and i think this puts forward a good argument on why the faa should be a public corporation in the u.s. with its own budget to get away from some of the politics of washington. this is a mandatory type of function that the airlines do need and is it's going to be very costly to the airlines, i believe, if this situation continues to move
? >> possible options for travelers now that it is day three of the faa furloughs longer airport wait time, longer tarmac wait time perhaps canceled flights all together. now they have filed a motion to place a moratorium on the rule saying airlines cannot let passengers remain on the tarmac for more than 3 hours. the motion notes 6700 flights will be delayed daily at 13 of the busiest airports now that the furloughs have started f. you add bad weather on ton of that it could get pretty ugly. if the tarmac rule does stay in place airlines may be forced to cancel flights and significantly disrupt travel plans. because they don't have the appropriate staff to go deal with the travel disruption. >> they are telling passengers there's always the bus. >> college, is it worth it or not worth it? >> there is a growing number of people saying it's not worth it. no longer guarantees success. even a good enough job where you make enough money to pay back your student loan. the average college grad is graduating with 28,000 in debt. that's why some high school grads are starting their own businesses
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